Asian markets mixed on Greek uncertainty

HONG KONG: Asian markets were mixed on Thursday after European officials said Greece would get its next tranche of bailout cash but traders were nervous as politicians in Athens struggled to form a coalition.

And while the country will have enough money to service its debts it was warned that the next batch of International Monetary Fund-European Union rescue money could be withheld if a functioning government is not in place.

Tokyo rose 0.22 percent by the break and Sydney was flat, while Seoul slipped 0.18 percent.

Hong Kong fell 0.91 percent and Shanghai dropped 0.12 percent after China posted a trade surplus well below economists' forecasts.

Global markets have been sent into a spin since ruling parties in Greece and France were swept aside by voters in a backlash against strict austerity policies introduced to fight the eurozone's crippling debt crisis.

The two main parties in Greece -- the conservative New Democracy and Socialist Pasok -- won less than a third of the national vote against groups campaigning against further cuts to services.

But with New Democracy and the radical left-wing Syriza, which came second on Sunday, saying they were unable to agree a coalition, analysts expect another election next month.

The delicacy of the situation was made clear by Luxembourg Foreign Minister Jean Asselborn on Wednesday, when he warned that future loans would not be forthcoming unless a stable government was set up. (AFP)